Money Laundering Money-laundering is concealing the origin of money representing the proceeds of crime. It is a method by which proceeds of crime are legitimised and concealed. Since the mid-1990s, legislation, most of which has derived from European Union, has been enacted with the purpose of preventing money-laundering. The September 11th 2001 attacks, has led to further legislation, aimed at organised criminals and terrorists. The […]
The Assessment Persons and entities designated under the legislation must carry out a business risk assessment to identify and assess the risks of money laundering and terrorist financing in the context of their business and the services provided. A designated business is to carry out an assessment of the risks of money laundering and terrorist financing involved in carrying out the person’s business. A designated […]
Customer Due Diligence Customer due diligence obligations apply to customers of persons within the scope of the legislation. They apply prior to establishing a business relationship or carrying out an occasional transaction on behalf of the customer. Customer due diligence must be carried out at any time where the risk of money laundering and terrorist financing warrants its application. This is in addition to the […]
Obtaining Information A designated business must obtain information reasonably warranted by the risk of money laundering or terrorist financing on the purpose and intended nature of a business relationship with a customer prior to establishing the relationship. A designated business which is unable to obtain such information, as a result of failure on the part of the customer, shall not provide the service for so […]
Risk Levels The legislation contemplates three levels of customer due diligence reflecting the risk-based approach; standard customer diligence simplified customer due diligence and enhanced customer due diligence. Businesses covered by money-laundering legislation may take the identification and other obligations applicable in a manner and to such extent as reasonably warranted by the lower risks involved in relation to a business relationship or transaction where it […]
Records A designated business shall keep records evidencing the procedures applied, and information obtained, by the designated business in relation to each customer, and each correspondent relationship. The Minister may make regulations in respect of the retention of records. There are penalties applicable for failure to comply. Evidence Retained A designated business shall take the original or a copy of all documents used by the […]
Policies & Procedures A designated business shall adopt policies and procedures in relation to the designated business’s business to prevent and detect money laundering and terrorist financing. A designated business shall ensure that policies, controls and procedures adopted in accordance are approved by senior management and shall keep such policies, controls and procedures under review, in particular when there are changes to the business profile […]
FIU The Financial Intelligence Unit (FIU) is part of the Garda Síochána. The FIU is responsible for receiving and analysing suspicious transaction reports. It may access the beneficial ownership registers and request information from designated businesses, competent authorities, the Revenue Commissioners and the Minister for Employment Affairs and Social Protection in order to carry out its functions. It may provide information to certain bodies where […]
No Anonymous Accounts Anonymous accounts or the provision of anonymous passbooks by credit or financial institutions are prohibited. Financial institutions may not retain anonymous accounts or passbooks that came into existence before the provision came into force. It is an offence to fail to comply. Correspondent A credit institution may not enter into a correspondent banking relationship with another credit institution in a place other […]
Regulators The Minister may prescribe a regulator for a class of designated business. Where there is more than one regulator, they may agree between them that one of them will act as the regulator for that designated business. Such an agreement shall be effective when written notice has been given to the person. The regulators are as follows in the case of a designated business […]